The latest property market analysis focusing on foreign investors in the French property market show that the British are still the largest group of international property buyers in France.
British buyers account for 25.9% of non-resident foreign buyers, which is down nearly 18% on the previous year. Rhône-Alpes is the top choice of region with 15.4% of British buyers investing in holiday home there, the second most sought after region for second homes is Aquitaine (13%), followed by the Limousin (10.7%).
Although the number of non-resident British buyers fell, this was matched by the number of transactions for permanent homes being sold to British buyers which rose by 17% on the previous year. The average amount spent on property was €252 K for second/holiday homes and €208 K for permanent residences. The increase in numbers of British buying property as permanent homes, could be attributed to people moving forward their plans to relocate to France and ensure they are settled before the UK has left the European Union.
Provence-Alpes-Côte d’Azur is still the most popular region in France overall for foreign buyers, with 21% of non-residents investing in property there, followed by the Rhône-Alpes with 14%, Languedoc-Roussillon with 10% and Ile-de-France with 8%.
However, it is a different story in the Ile-de-France where there was a 3% increase in property transactions by non-resident foreign buyers, 54% of these invested in Paris. American buyers invested the most in Paris averaging €1 bn, which is significantly more than the Ile-de-France average. British buyers didn’t feature in the top three for this region.
Source: BNP Paribas International Buyers
After two record breaking years for property transactions, the French property market saw its activity stabilize at high levels during the first half of 2018, which is being attributed to the continual low mortgage interest rate.
However, property prices are expected to gradually increase as it appears that demand is starting to outstrip supply, especially in the older type of property, in some areas of France. If you are searching for property in France, and can’t find what you’re looking for, or don’t have time to search yourself, FrenchEntrée has a dedicated Property Team to assist you in finding your dream property. Let us know what you are looking for and we will do our best to select properties matching your requirements.
FrenchEntrée offer a wide range of services designed to help you to buy a property in France. If you need a mortgage or advice on your international money transfer, FrenchEntrée is dedicated to assisting you through all the steps of your property purchase.